Exhibit 12.1
ARBOR REALTY TRUST, INC. AND SUBSIDIARIES
Statement of Computation of Ratio of Earnings to Fixed Charges
(Unaudited)
| | Nine Months Ended | | Years Ended December 31, | |
| | September 30, 2017 | | 2016 | | 2015 | | 2014 | | 2013 | | 2012 | |
Earnings: | | | | | | | | | | | | | |
Net income from continuing operations, pretax | | $ | 82,469,775 | | $ | 63,305,893 | | $ | 53,428,814 | | $ | 93,048,490 | | $ | 21,298,737 | | $ | 15,586,859 | |
Add (Subtract): | | | | | | | | | | | | | |
(Income) loss from Equity Affiliates | | (1,755,145 | ) | (12,994,607 | ) | (12,300,516 | ) | (248,658 | ) | 204,475 | | 697,856 | |
Distributions from Equity Affiliates | | 4,487,794 | | 16,006,905 | | 5,622,944 | | 9,256,730 | | 176,777 | | 428,471 | |
Fixed charges | | 63,697,641 | | 63,941,178 | | 50,624,510 | | 49,238,543 | | 43,544,166 | | 42,372,781 | |
Income before fixed charges | | $ | 148,900,065 | | $ | 130,259,369 | | $ | 97,375,752 | | $ | 151,295,105 | | $ | 65,224,155 | | $ | 59,085,967 | |
| | | | | | | | | | | | | |
Fixed charges: | | | | | | | | | | | | | |
Interest expense | | $ | 63,697,641 | | $ | 63,941,178 | | $ | 50,624,510 | | $ | 49,238,543 | | $ | 43,544,166 | | $ | 42,372,781 | |
Total fixed charges | | $ | 63,697,641 | | $ | 63,941,178 | | $ | 50,624,510 | | $ | 49,238,543 | | $ | 43,544,166 | | $ | 42,372,781 | |
| | | | | | | | | | | | | |
Ratio of earnings to fixed charges | | 2.3 | | 2.0 | | 1.9 | | 3.1 | | 1.5 | | 1.4 | |
| | | | | | | | | | | | | |
Deficiency | | $ | — | | $ | — | | $ | — | | $ | — | | $ | — | | $ | — | |
Item 503:
(C)Earnings. The term “earnings” is the amount resulting from adding and subtracting the following items. Add the following: (a) pre-tax income from continuing operations before adjustment for income or loss from equity investees; (b) fixed charges; (c) amortization of capitalized interest; (d) distributed income of equity investees; and (e) your share of pre-tax losses of equity investees for which charges arising from guarantees are included in fixed charges. From the total of the added items, subtract the following: (a) interest capitalized; (b) preference security dividend requirements of consolidated subsidiaries; and (c) the noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges. Equity investees are investments that you account for using the equity method of accounting. Public utilities following FASB ASC Topic 980, Regulated Operations, should not add amortization of capitalized interest in determining earnings, nor reduce fixed charges by any allowance for funds used during construction.
